Question

why+the+deficiency+account+is+prepared

Answer 1

Answer:

HEY BUDDY...

GOOD MORNING...♥

When a company become insolvent deficiency account is prepared.This account shows the reason of company deficiency.A company deficiency is because of losses,decrease in the value of assets or any other such reasons...

This account is not made on double entry system but it is the statement of simple calculation...

To make the deficiency account we have to find or make list of item which are responsible for deficiency account...

HOPE IT HELPS...!!!

HVE A GRT DAY AHEAD...^_^